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September 16, 2025 - 6:52 PM

Half a Million Travellers Stranded as Air Canada Cancels All Flights Over Pay Dispute

Air Canada has cancelled all mainline and Rouge flights for a sixth consecutive day after more than 10,000 cabin crew members walked off the job in a dispute over pay and working conditions.

The strike began on Thursday, August 14, when members of the Canadian Union of Public Employees (CUPE) voted overwhelmingly to stop work. By Saturday, August 16, the airline announced a “complete cessation of flying.”

Air Canada typically carries 130,000 passengers per day in August. The company estimates that over 500,000 travellers have been affected so far.

Cabin crew members say they are seeking an end to what they describe as “unpaid labour” and “poverty wages.” CUPE argues that flight attendants are compensated only from the time aircraft doors close, leaving boarding, waiting, and ground duties unpaid.

“Our members, who are mostly women, have waited too long for fair wages,” said Candace Rennick, CUPE’s national secretary-treasurer, in a press conference on Monday. “Air Canada is a profitable employer, yet our members are still fighting for a path out of poverty.”

Air Canada has offered what it calls a 38 per cent increase in total compensation over four years, with a 25 per cent raise in the first year. In a statement, the company said arbitration is “the fairest solution” to the dispute.

CUPE dismissed the proposal, calling it “below inflation, below market value, below minimum wage.”

On Saturday, August 16, Canada’s federal government ordered the crews back to work and referred the matter to binding arbitration. The Canada Industrial Relations Board later declared the strike unlawful and instructed flight attendants to return by Monday, August 18 at noon.

The union refused. Mark Hancock, CUPE’s national president, told reporters:

“If Air Canada thinks planes will be flying this afternoon, they’re sorely mistaken. We will accept penalties, even jail time, but we will not return until we have a negotiated settlement.”

Prime Minister Mark Carney described the breakdown in talks as “disappointing,” noting:

“Hundreds of thousands of Canadians and visitors are being disrupted by this action. I urge both parties to resolve this as quickly as possible.”

The shutdown has left tens of thousands stranded across Canada, Europe, and the United States. Air Canada’s website currently lists all flights cancelled until at least 4 p.m. EDT on Tuesday, August 19.

Some passengers have reported being offered only refunds instead of rebookings. Karen Dearing, a passenger from East Yorkshire, said her family’s flight from Calgary to London was cancelled last Friday.

“We were told Air Canada couldn’t rebook us after checking 120 airlines,” she said. “We found our own tickets through Seattle, but the fare was double what we originally paid.”

According to the Independent’s travel desk, many British travellers have been forced to pay thousands of pounds to secure seats home through other carriers.

Air Canada says it has reached out to other Canadian and foreign airlines to provide alternatives “to the extent possible,” but admitted that summer demand has left few seats available.

Passenger rights vary depending on the origin of travel.

  • Travellers departing from the UK or EU are entitled to alternative flights and compensation of up to £520 if delays exceed four hours.

  • Under Canada’s Air Passenger Protection Regulations, strikes are considered outside the airline’s control, meaning no compensation is owed.

Travel association Abta advised that passengers on package holidays have stronger protection. “If travellers have to stay overnight, the organiser should arrange and pay for accommodation where necessary,” an Abta spokesperson said.

Talks between Air Canada and CUPE resumed Monday evening, though no agreement has been announced.

For now, the airline has confirmed:
“All flights of Air Canada and Air Canada Rouge remain suspended.”

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